Matches were scheduled to be played at the stadium of the team named first on the date specified for each round, which was always a Saturday. Some matches, however, might be rescheduled for other days if there were clashes with games for other competitions or the weather was inclement. If scores were level after 90 minutes had been played, a replay would take place at the stadium of the second-named team later the same week. If the replayed match was drawn further replays would be held until a winner was determined. If scores were level after 90 minutes had been played in a replay, a 30-minute period of extra time would be played.

At this stage 43 clubs from the Football League Third Division North and South joined the 24 non-league clubs having come through the qualifying rounds, plus Third Division South club Brighton & Hove Albion (who failed to apply for exemption and played in the preliminary rounds - they would ultimately reach the Fifth Round!). Barnsley, and Watford were given a bye to the Third Round. To make the number of matches up, non-league Marine and Dulwich Hamlet were given byes to this round. 34 matches were scheduled to be played on Saturday, 26 November 1932. Eight were drawn and went to replays in the following midweek fixture, of which one went to a second replay.

The 44 First and Second Division clubs entered the competition at this stage, along with Barnsley, and Watford. The matches were scheduled for Saturday, 14 January 1933, with the exception of the Millwall–Reading game, which was played four days after. Seven matches were drawn and went to replays in the following midweek fixture.